No STAM setups this morning at 7am. No major changes on the STAM matrix. GBP is still flying with 14, EUR and NZD on 10, USD and CHF on 8 and the weaklings CAD, JPY and AUD on 2.
Weak AUD employment report came in overnight – consequently the AUD has tanked.
I am in the process of reviewing the market for S3 setups now – I will do this simultaneously with the supply/demand setups.
But before I carry on with that, I want to review the trades that I did yesterday – to see what I did well and what I didn’t do well – see whether there is anything that I can take from it and learn.
Well, it’s now 2pm and I still have not ‘published’ my update. Let’s get it finished.
Note this morning I took 3 Demand/Supply trades going with the short-term momentum. I was rather aggressive with my stop loss management – consequently I ended up with 1W, 1BE and 1L and a net gain of 0.5R.
However I have just entered into one further trade (same trade on which I had the loss this morning!). Bad boy!! However I am using a tight stop – let’s see where it goes. All right, it moved in my favour by 10-15 pips so I have shifted the stop to BE.
Trade #225 – S3S setup
It was risky because I shorted the pair after it already made a big move. A better entry would have been to short once it moved out of the supply zone.
Given that the entry made the trade risky, I should have considered being more aggressive – in that I should have tightened the stop after being in profit.
An alternative entry approach would have been to wait for a retracement – which did happen shortly after my entry.
All things considered, I should not have executed this trade in the market.
Trade #224 –
Trade review not completed…..
Had meeting with my mentor in the afternoon – discussed the Old Street trading office, the JBT trading room, reversal versus trend-following strategies, some psychology items. As always a very informative meet!